Blog Post

Installation of new gas boilers should be banned from 2025 to hit climate change targets says CBI

Richard Simmonds • Jul 23, 2020

An independent commission set up by the Confederation of British Industry (CBI) and the University of Birmingham has called on the government to ban the installation of new gas boilers from 2025 if the UK is to hit its climate change targets.

Drive for NetZero

The Commission was comprised of members that included leaders from UK Energy Research Centre and Cadent the UK’s largest gas distribution, National Grid and other members of the energy industry have called for the ban to apply to all conventional gas boilers but other forms such as hybrid and hydrogen boilers would still be allowed.


As with all of these demands it would require the government to splash more cash in the form of grants or loans to assist people and organisations to make switch their boilers or replace them new heat pumps or be integrated into district heating systems.

A Green economic recovery?

With the economy already in seemingly dire straights as a result of the COVID-19 pandemic and subsequent lockdown, it might be a tough sale to convince the public that their tax money should be spent on such an ambitious scheme.



Supporters of a ban, however, argue that it would be a benefit to the wider economy.



“A green recovery and progress towards the UK’s net-zero emission target are doomed to fail if we don’t address the urgent need to decarbonise the heat in our homes and buildings.



The Commission’s recommendations offer a road map to accelerate progress, ensure our nation stays on a path to sustainable recovery and ensures the UK remains a global leader in meeting climate commitments.



Aside from the moral imperative, there’s also a strong economic case for protecting our planet. It would provide a huge jobs boost at a time when they are needed more than ever,” said CBI president and commission chair, Lord Karan Billimoria.



A big challenge

According to data released by the Department for Business, Energy, and Industrial Strategy (BEIS) heating is the largest single source of carbon emissions across the UK and accounts for a third of total emissions.



To hit the NetZero target, heating will have to be decarbonised. Some argue that the targets are impossible to hit due to the fact that it will require millions of households and businesses to agree to have their boilers replaced. In 2020, just one million homes out of twenty-seven million have low-carbon heat.



The commission itself admits that replacing the nation’s gas boilers will be a huge challenge stating that; “This transition will undoubtedly be disruptive to consumers and businesses.”



Data released by National Grid and other analysts of the energy markets suggests that in the scenario where the UK fully commits to decarbonising the nation the demand for gas as an end use fuel will peak in the mid-2020s and will fall rapidly in the 2030s and 2040s.  



“Delivering decarbonisation of heating is the biggest energy challenge we face in getting to net zero. Unlike electricity, which can be changed at a systems level, it requires over twenty million households to adopt new energy efficiency measures and new ways of generating heat,” said Professor Martin Freer at the University of Birmingham.

What will this mean for Energy Suppliers?

It’s likely, much of the legwork for instigating such a ban on conventional gas boilers and convincing households to adopt cleaner methods for heating will fall on energy suppliers.



We could see similar rules and regulations being introduced that are in a similar vein to those we currently see when it comes to Smart Meters.



If that’s the case, then energy suppliers will have to do and prove that they’ve done all they can to convince consumers to replace their current boilers with cleaner alternatives.



It’ll also likely to result in the same (if not tougher) challenges that the smart meter push has created.

What will replace gas boilers in 2025?


Heat pumps


Unlike gas boilers, heat pumps can operate without gas or oil. They run on electricity or renewable energy, meaning that they don't directly produce any carbon emissions. Air source heat pumps are the easiest to install, whereas ground source heat pumps require additional pipework on the land around the household to extract ambient heat from within the ground. The installation costs are often the main reason why most people choose air source heat pumps.


Electric boilers


Just as the name suggests, electric boilers use electricity instead of gas or oil to heat the water up and are just as efficient as their counterparts. They are not 100% CO2 neutral if they use electricity produced from burning fossil fuels, however, solar panels or other forms of renewable energy can enable it to run while reducing its carbon footprint.


Solar heating systems


Solar heating may reduce the carbon footprint from fossil fuels by up to 60%. Solar heating systems use the sun's heat to warm up the water stored in the tank. Although they can work independently, it all depends on how much sunlight is available in your area. They still work in cold weather too, making them ideal for British households.


Further Reading

How should an energy supplier handle energy billing complaints?


Energy Billing: The Differences between Domestic and Business energy bills


Half of Energy Suppliers have failed to hit Smart Meter Installation Targets


Dyball Associates are proud to help new supply businesses successfully launch in the UK market.

 

Through our energy market consultancy services, and the software we’ve developed, we’re supporting new UK electricity and gas suppliers get set up and start supplying.

 

Follow us on Twitter and LinkedIn to keep up to date with the latest news and updates in the energy industry.


More articles

Latest News

White label
By Richard Simmonds 24 Nov, 2021
We take a look at white labelling and why it could be a good source of revenue for your business.
dim bulb
By Richard Simmonds 23 Nov, 2021
The ongoing energy crisis has claimed its biggest victim as the UK’s seventh largest energy supplier, Bulb announced that it has entered administration.
investigate
By Richard Simmonds 22 Nov, 2021
Two of the UK’s largest energy supply companies could be investigated by Ofgem and possibly face fines of up to 10% of their revenue after being accused of breaching price cap rules by overcharging customers by hundreds of pounds.
More Posts
Share by: